Severance Pay Calculator
Calculates statutory severance from the average wage of the last three months and the service period.
퇴직금 is 30 days of 평균임금 for each year of service under the 근로자퇴직급여 보장법, and the argument is almost never about the multiplication — it is about what counts as 평균임금. This shows the formula line by line so the figure can be checked rather than accepted.
Service and pay
Basic pay and fixed allowances. Bonus and unused-leave pay go in the fields below.
Only three twelfths of it counts towards 평균임금, the average wage.
퇴직금 — severance
Statutory severance
11,329,064원
Days of service
1,409 days
Years of service
3.86 yr
1일 평균임금 — average daily wage
97,826원
divided by 92 days
Severance = 1일 평균임금 (average daily wage) × 30 days × (days of service ÷ 365)
= 97,826원 × 30 × (1409 ÷ 365)
1일 평균임금 = three months' pay 9,000,000원 ÷ calendar days in that period 92The average wage divides the three months by the calendar days in that period — 89 to 92 — not by 90. Dividing by 90 overstates it by up to 2%, which on ten years of service is a month’s salary. Severance income tax is separate and is not applied here.
How to use it
Enter the joining and leaving dates
Service is counted in days, not whole years — 913 days of service is 2.5 years and the fraction is paid.
Enter the pay for the last three months
평균임금 is that total divided by the number of calendar days in the period — so a three-month window containing February gives a slightly higher daily figure than one that does not.
Read the formula, not just the total
“1일 평균임금 × 30일 × (재직일수 ÷ 365)” written out is something an employer can check and an employee can cite. The bare total is only a claim.
Common questions
What counts toward 평균임금?
Wages paid as consideration for work — base pay, fixed allowances, and the pro-rated portion of a regularly paid bonus and of unused-leave pay. What does not: an occasional, discretionary payment. The boundary is a well-litigated one, and where a payment sits is a question about your own terms rather than about this calculator.
Is this the amount I will receive?
It is the statutory minimum before tax. 퇴직소득세 is withheld and is computed under its own schedule with a 근속연수공제, not at the ordinary income rates — this tool does not calculate it. A company plan may also pay more than the statutory floor.
I worked eleven months. Do I get anything?
No. The statutory entitlement requires a full year of continuous service, and separately at least 15 contracted hours a week averaged over the period. Below either threshold there is no statutory 퇴직금.
Is 퇴직연금 the same thing?
A DB plan is designed to pay at least this. A DC plan is not a calculation at all — the employer contributes a twelfth of annual wages each year and the balance depends on investment returns, so this figure does not describe it.
Feed it from
Net Salary Calculator
Works out take-home pay from a gross salary after the four insurances, income tax and local tax.
Social Insurance Calculator
Splits national pension, health, long-term care and employment insurance between employee and employer.
Annual Leave Calculator
Works out how many paid leave days have accrued by joining date or fiscal year, including the first-year rule.
Unemployment Benefit Estimator
Estimates the daily benefit and payment period from age, insured period and average wage.
Next
These accept what this tool produces, so the result can go straight in.
Date Difference
Counts days, weeks, months and years between two dates, with a D-day view and business-day option.
Annual Leave Calculator
Works out how many paid leave days have accrued by joining date or fiscal year, including the first-year rule.
Social Insurance Calculator
Splits national pension, health, long-term care and employment insurance between employee and employer.
Net Salary Calculator
Works out take-home pay from a gross salary after the four insurances, income tax and local tax.
Korean Age Calculator
Works out your 만나이, 연나이 and the old 세는나이 from a birth date, on any reference day.
Business Registration Number Validator
Checks the 10-digit check sum of a Korean business number and can bulk-validate a pasted column.